Dane County, Wisconsin Judge James R. Troupis recently ruled in favor of the motions drafted by Mike Martinez on behalf of Special Electric Company, Inc. and John Erato, its former President, and entered summary judgment in favor of these defendants. The court agreed with Mr. Martinez that Erato’s resignation as president did not breach any duty owed to the plaintiffs, and that the statute of limitations barred any claim against Erato for a breach of fiduciary duty. Mr. Martinez also persuaded the court that because Special Electric was dissolved by the State of Wisconsin on May 8, 2014, the court did not have the authority to reinstate the company. To do so would ignore the authority granted by the legislature to the Department of Financial Institutions as well as the Business Corporations Act. Alternatively, because Mr. Erato properly resigned, the court found that no one remained at Special Electric to be ordered to reinstate the company.
For further information, contact Mike Martinez.